Wayne P.
11/15/11
Microeconomics 202
Korea trade pact lauded.
Friday, October 14, 2011 President Obama completed a trade deal with South Korea making an ally with them in a world of flux. The deal would increase U.S. exports by $11 billion as well as 70,000 jobs while opening Korea’s market to more U.S. goods. Obama was scheduled to take Lee with him to Detroit to tour a General Motors plant. Lee stated that the trade deal “will mark a turning a point in the enduring alliance between our two nations” and also called it “a historic achievement that will become a significant milestone.” The deal still requires approval from South Korea’s legislature. This will be America’s largest free-trade agreement since North American Free Trade Agreement with Canada and Mexico in 1994. It is believed the pact will elevate the U.S.-South Korean alliance, traditionally defined by their opposition to North Korea’s communist government. “This trade deal, this Korea free trade act, shows we are happy to work with republicans where they are willing to put politics behind the interests of the American people,” Obama said. He also referred to Korea as “one of our stronger allies” and praised Lee’s “vision and commitment.” Lee responded to the compliment speaking of “the strong partnership and friendship between our two countries.” Opening free trade between the U.S. and South Korea will make the economy for both countries better since it is increasing exports as well as opening up